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The manager of the Winston Company faced the following data for the year 2009: a. Determine the margin, turnover, and return on investment for the
The manager of the Winston Company faced the following data for the year 2009: a. Determine the margin, turnover, and return on investment for the segment in 2009. b. Determine the effect on margin, turnover, and return on investment of the segment in 2010 if each of the following changes were to occur. Consider each change separately and assume that any items not specifically mentioned remain the same as in 2009: A campaign to control costs resulted in $180,000 of reduced expenses. Certain nonproductive assets were eliminated. As a result, investment decreased by $900,000, and expenses decreased by $72,000. An advertising campaign resulted in increasing sales by $3, 600,000, cost of goods sold by $2, 700,000, and advertising expense by $540,000. An investment was made in productive assets costing $900,000. As a result, sales increased by $360,000, and expenses increased by $54,000
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